Federal government has announced an auto policy with a special focus on low-cost and electric vehicles

The key features of policy were shared by Adviser to the Prime Minister for Industries and Production Haroon Akhtar Khan at a news conference with Minister for Information and Broadcasting Attaullah Tarar in Islamabad today.

Haroon Akhtar said policy rests on six basic pillars which include low cost vehicles, especially for middle class and lower middle class, boosting exports, promotion of Electric Vehicles, exports localization, vehicle safety and transparency.

He said import duties have been reduced to decrease manufacturing cost of vehicles which will directly result in availability of locally manufactured low cost vehicles especially for low income people.

Haroon Akhtar said it was Prime Minister's special focus to lower prices of vehicles below 1300cc.

He said special measures have been taken to increase localization and export of automobiles.

He said a target of six billion dollars has been set for next five years for export of auto manufactures.

Addressing the news conference, Information Minister Attaullah Tarar said the new auto policy would promote local vehicle manufacturing and exports, ensuring affordable, quality and environment-friendly vehicles for a common man.

He said that all stakeholders were consulted during its preparation, technical data was analysed, and models followed in different countries were studied and compared.

The Minister said Prime Minister Shehbaz Sharif has directed that facilities be created for the middle class in the auto sector.

He said that girls and women are increasingly using electric scooters to reach schools, colleges and offices, and that the use of electric motorcycles and scooters is growing fast, which he called a need of the hour.

Attaullah Tarar said use of electric vehicles will also reduce the country's growing oil import bill, the burden of which ultimately falls on the poor.

He described the new auto policy as a comprehensive initiative offering special incentives for electric vehicles (EVs), while emphasizing the importance of promoting local manufacturing.

The Minister said the local industry cannot be fully beneficial until vehicles are exported after manufacturing and jobs are created.